VANCOUVER, British Columbia and KNOXVILLE, Tenn., June 05, 2020 (GLOBE NEWSWIRE) -- Solar Alliance Energy Inc. (‘Solar Alliance’ or the ‘Company’) (TSX-V: SOLR) announces that it has settled and extinguished $111,436.50 of the Company's outstanding debt (the "Debt") through the issuance of common shares of the Company ("Common Shares"). In accordance with settlement of Debt (the "Debt Settlement"), the Company issued 4,457,460 Common Shares at a deemed price of $0.025 per Common Share, pursuant to the temporary relief bulletin issued by the Toronto Stock Exchange (“TSX”) on April 8, 2020, to five creditors of the Company. The Debt Settlement involved the issuance of Common Shares to certain directors and officer and/or companies controlled and directed by such directors and officers (collectively, the "Related Parties"). The Debt Settlement was approved by the TSX Venture Exchange on May 27, 2020. The Common Shares issued pursuant to the Debt Settlement are subject to a four month hold period, which will expire on the date that is four months and one day from the date of issuance.
“The directors and officers participating in this shares for debt transaction believe in the long term growth prospects of Solar Alliance and are committed to preserving the company’s cash reserves by accepting shares for their outstanding fees,” said CEO Myke Clark. “As CEO, I believe all available cash should be used to fund our growth and increase shareholder value. Shareholders can be assured that directors and officers of Solar Alliance are fully aligned with them as we work to build our business and deliver value to our shareholders and customers.”
The Debt Settlement involving the Related Parties constitutes a "related party transaction" under Multilateral Instrument 61-101 – Protection of Minority Securityholders in Special Transactions ("MI 61-101"). The Company has relied on the exemptions from the valuation and the minority approval requirements of MI 61-101 provided for in subsections 5.5(a) and 5.7(a) of MI 61-101, respectively, as the fair market value of the subject of, and the consideration paid in the Debt Settlement, in relation to the interested parties, does not represent more than 25% of the Company's market capitalization, as determined in accordance with MI 61-101.
Myke Clark, CEO
About Solar Alliance Energy Inc. (www.solaralliance.com)
Solar Alliance is an energy solutions provider focused on residential, commercial and industrial solar installations. The Company operates in California, Tennessee, North/South Carolina and Kentucky and has an expanding pipeline of solar projects. Since it was founded in 2003, the Company has developed $1 billion of wind and solar projects that provide enough electricity to power 150,000 homes. Our passion is improving life through ingenuity, simplicity and freedom of choice. Solar Alliance reduces or eliminates customers' vulnerability to rising energy costs, offers an environmentally-friendly source of electricity generation, and provides affordable, turnkey clean energy solutions.
Statements in this news release, other than purely historical information, including statements relating to the Company's future plans and objectives or expected results, constitute Forward-looking statements. The words “would”, “will”, “expected” and “estimated” or other similar words and phrases are intended to identify forward-looking information. Forward-looking information is subject to known and unknown risks, uncertainties and other factors that may cause the Company’s actual results, level of activity, performance or achievements to be materially different than those expressed or implied by such forward-looking information. Such factors include, but are not limited to: uncertainties related to the ability to raise sufficient capital, changes in economic conditions or financial markets, litigation, legislative or other judicial, regulatory and political competitive developments and technological or operational difficulties. Consequently, actual results may vary materially from those described in the forward-looking statements.
“Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release."
